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Home Business Farming

Ornua PPI Shows An Increased Milk Price is Possible

by Paddy Ryan
April 12, 2021
in Farming
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IFA Submission for the Extension of the General Employment Permit Pilot for Dairy Assistants – 2019
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Reacting to the latest Ornua PPI, IFA Dairy Chairman Stephen Arthur said markets can sustain an increased price for March milk.

The Ornua PPI for March is 112.6. When adjusted to include the Ornua Value Payment, this is the equivalent of 35.9c/L.

“While many processors will be removing or reducing seasonal milk bonuses this month, there is no excuse for milk price to fall as a consequence,” he said.

“Processors are very quick to reduce milk price when markets aren’t as strong, but very slow to pass on returns when markets are positive. Milk processors must match the Ornua PPI this month. Farmers must get their fair share of the buoyant market,” he said.

Future milk expansion and growth has come into sharp focus for dairy farmers since the announcement of the Glanbia Peak management supply policy.

With greater environmental commitments and restrained supply, farmers must get the maximum return from the marketplace to sustain their businesses.

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